National Innovation Strategy of the Czech Republic

Innovations play a significant role in the current economic, political, and social transformation of developing countries and of states with a developed infrastructure. At the turn of the millennium, innovation is becoming a key component of the global economy. Governments which view the long—term development of national economic prosperity as a matter of prime interest pay constant, systematic attention to their innovation policy.

The interconnection of information sources fuels the globalization of markets universally, throughout the world, and locally, in the Czech Republic; the result is a steady rise and intensification of competition, where the only way to survive is to place a constant emphasis on increasing the utility values of products and services without having an adverse impact on the environment. This is only possible by ensuring continuous improvements to existing products, technological processes, and services.

The innovation strategy centres on the formation and development of conditions for the innovation process, concentrating on system—based solutions for the innovation environment and on the development of the innovation infrastructure. In this respect, the innovation policy is different from the research policy, which focuses on advances in science, knowledge, and the professional training of research and development workers. The economy of the 21st century will, by nature, be a knowledge, information, and innovative economy. This means it will be based on knowledge and experience, on creative activity and skills. Education, as well as research and development, will definitely play a key role. At a time of change in the relationship between the industrial paradigm and the knowledge paradigm, the linear model of the innovation process should be abandoned; instead, this process should be viewed in the context of a continuum. Therefore, if no fundamental changes are made to the quality of material — and often staffing — of our current research and development as the main generator of invention and technological innovation, we could eventually find ourselves in the company of less developed countries.

There can be no innovation without invention. Therefore, in the thorough application of the principles of regionalization and decentralization and in the acquisition of the tangible and intangible resources required for the development of enterprises, the innovation policy must be based on universal education supporting invention and the development of creativity.

Innovations are becoming a key factor dictating the commercial success of industrial production in particular. This is confirmed by the innovation activities of all governments in industrially advanced countries (including the allocation of financial resources from the national budget).

The strategic goal for the European innovation policy was stipulated and defined at the Lisbon Conference of the European Council in March 2000. The strategy was confirmed, and its significance emphasized, at subsequent summits of the European Council, primarily in Barcelona in 2002 and in Brussels in 2003. The promotion of innovations is central to the EU ambition of becoming ‘the most competitive and dynamic knowledge—based economy in the world, capable of sustainable economic growth with more and better jobs and greater social cohesion’.

The Czech Republic will not be able to avoid handling issues of innovation, especially in connection with its accession to the EU in 2004. The insufficient legislation in this field, system barriers in the areas of administration, incentives, and the financing of the innovation process, insufficient care for protection, and low—key efforts to exploit the results of this process result in considerable financial loss every year, including a reduction in the competitiveness of businesses. For that reason, the government of the Czech Republic passed Resolution No 172 of 17 February 2003, on proposals to improve the entrepreneurial and investment environment, in which it tasked the Deputy Prime Minister for Research, Development and Human Resources with the coordination of preparations for the National Innovation Strategy of the Czech Republic and the submission of this document to the government.

The aim of this submitted document, the National Innovation Strategy (NIS), is to create conditions and lay the foundations for the formulation of the Czech Republic’s innovation policy.